Bitcoin – 6000 Plus, what’s next?

Bitcoin (BTCUSD) crossed the 6,000 mark for the first time on Friday for a short, fresh peak taste and is now retesting the 5,800 breakout region.

Bitcoin 4H Chart
Bitcoin 4H Chart

The No’ 1 cryptocurrency is heavily traded between 5,400 and 5,800 with “just” 400 points up and down glitches since Friday.

Note that in the next few day the Bitcoin market will be highly affected by the Bitcoin Gold Fork. The fork is scheduled on October 25th.

Bitcoin is trading at $5728.9, down -4.01% as of 8:00 GMT.

Today, purchasing manager indexes figures will come out from Europe and the United States.

Few scenarios on the table today:

  1. In London Trading session – positive Euro-Zone and German economic data could provide with market peacefulness followed by Bitcoin trend reversal selling theme. Conversely, the 6,000 mark may breach one more time upon negative data.
  1. In New York Session – the morning trend could accelerate, decelerate upon 13:45 PMI data. This is the most important hour of the Bitcoin trading day.

It is nice to know that:

Purchasing Managers Index, or the PMI, is a strong economic-health-indicator which is derived from monthly surveys of a number of carefully selected companies across the manufacturing, construction, retail, and service sectors. The PMI is based on five major indicators: inventory levels, new orders, production, supplier deliveries and the employment environment. All indicators are calculated separately and then combined together for a final number. An index total over 50 indicates economic improvement, while anything below 50 indicates an economic decline. The farther away from 50 the index is, the stronger the change over the month. An advantage of using the PMI is that it is a fact-based indicator, not opinion-based.

Yaron Mazor is a senior analyst at SuperTraderTV.

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Published by

Yaron Mazor

Yaron has been involved with the capital markets since 1998. During the past 16 years, Yaron has been a day and swing stocks trader in the American market. Yaron has founded and made successful investments into businesses spanning exciting industries – from apparel to restaurants and bars, to high tech, medical technology and education. Ten years ago, Yaron sold all of his businesses and became a trader. Yaron started an education provider that taught thousands of people worldwide how to trade. Since then, he has traded every single day across every imaginable financial instrument Organic Trading System (OTS) is an unprecedented, new paradigm of trading technique, developed by Yaron Mazor. The trading system utilizes a combination of essential resources of market data (Fundamental, market participant sentiment and the basic concepts of trends), which are harmonically coordinated, in order to enable a relatively fast, simple and easy way to decide which side of the market to be trading from – the Buy side or the Sell side.